The CNN Money Fear and Greed index showed an increase in the overall market sentiment after the producer price index.
US major indices rose after the producer price index increased 0.2% for the month of October, compared to market
expectations for a 0.4% rise.
Retail stocks moved higher after Walmart Inc. WMT reported upbeat quarterly results and boosted full-year forecast. The Home Depot, Inc. HD also reported stronger-than-expected results for its third quarter but reaffirmed its FY22 guidance.
The Dow gained 0.17% to close at 33,592.92 on Tuesday. The S&P 500 rose 0.87% to 3,991.73, while the Nasdaq Composite jumped 1.45% to settle at 11,358.41 in the previous session.
Lowe’s Companies, Inc. HD, Target Corporation TGT, Cisco Systems, Inc. CSCO and NVIDIA Corporation NVDA are set to report quarterly earnings today.
At a current reading of 67.0, the index remained in the “Greed” zone, compared to a previous reading of 64.0.
What is CNN Business Fear & Greed Index?
The Fear & Greed Index is a measure of the current market sentiment. It is based on the premise that higher fear exerts pressure on stock prices, while higher greed has the opposite effect. The index is calculated based on seven equal-weighted indicators. The index ranges from 0 to 100, where 0 represents maximum fear and 100 signals maximum greediness.